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Low Cost Computers

210 points posted to Linux, Sales Strategies by all4bg2006 09/07/07

First of all, I would like to say that the price of computers is really at an all-time low right now. I remember spending $2600.00 on a set of computer components not too many years ago to build a computer that was outdated in 6 months. I am glad that the competition has caused the market to bring prices down to an affordable rate for the average consumer. I wish the same could happen for gas prices - focus, back on track. That being said, I think there are ways that computers could come down more in price while still producing quality systems. My idea is not rocket science or even anything new - I say that there are open source options out there that "could" work for many people. For example, Open Office instead of Works or MS Office - that would save several hundred dollars alone - especially since OO is $0.00. The recent Ubuntu discussions and European release is a great idea; it isn't for everyone but it is an alternative. I would love to see Dell come out with a (this has been done before too) low-cost computer for schools that doesn't rely on a hard drive. There was a Linux project several years ago (in Linux Journal, I believe) where a CD-ROM based bootable disk contained the OS for the pc - the beauty of this was that there was no need for Antivirus software (because it was read only) - if updates were needed - burn a new ISO and make 100 copies and stick them in the computer. I am sure now there is a method to accomplish the same thing across the network - like a dumb terminal (sorry, thin client) scenario - still with no need for a hard drive and a single place for updates to take place. The Linux community would love to see some of these low-cost ideas implemented. I have also talked with Open Source companies that are more than willing to donate some of their products (customized products) to schools, non-profit organizations, etc. The possibilities are limitless in what can be done.

benjesuit
09/07/07		 Just bear in mind that low cost computers equal low profit margin. To compensate for such a low profit margin, demand would have to be overwhelming for such a system.
jorge
09/07/07		 Anything is possible:
http://www.extremetech.com/article2/0,1697,2179736,00.asp
benjesuit
09/07/07		 Anything is possible but not everything is profitable. Dell is a for profit company. Not a foundation.
petzymathuram
09/07/07		 I found one link , Dell is also listed here with the comparision of prices, this is just for Dell to have an idea.
http://www.compareindia.com/NewSearchresult.asp
ic-man
09/07/07		 A low-cost scenario involving even less expensive computers together with free apps such as OO is definitely possible. Especially if the private enterprise cranking out a small number of systems (as is humanly possible) has no overhead or labor costs. How big is the "demand" for mega corporations? Dell estimated that (white-box) market as being in excess of $3 billion a year back in 2003 when it entered the market. I do not believe Dell (or HP) cleaned house in that market such that even its own team recommends targeting Blacks and Hispanics (for their low percentage of computer ownership) in the white-box market.
petzymathuram
09/07/07		 Hi ic-man,

If you dont mind can you educate me what you mean by white - box market?...plzzz....;)
howlingmadhowie
09/08/07		 petzymathuram: to the best of my knowledge, "white-box" means a computer without software. that means you just get the hardware. of course, microsoft would never allow such computers being sold en masse.

all4bg2006: live distributions are pretty standard for gnu/linux distributions. cds are however extremely slow, so i'd recommend an usbstick or similar. this would also be cheaper because you wouldn't need a cdrom drive, so saving energy and space. it should be possible to make a pretty powerful desktop computer for about 100 dollars.
petzymathuram
09/08/07		 Hi howlingmadhowie,

Thanks for the info.....;)
ic-man
09/08/07		 petzymathuram, howlingmadhowie's answer is pretty much on target while making an interesting sideline comment. Microsoft may not like the idea of white-box computers been sold in masse, but we've seen they have their hands full with something else they don't like: Linux.
White-box is, and can be, a no-name computer or system components to build-to-order. The white-box market has at various times comprised 30 percent of the market. That represents a market share Dell, HP and other Tier 1 computer manufacturers have been unable to tap into.
petzymathuram
09/08/07		 Hi ic-man, thanks for the info...;)
all4bg2006
09/10/07		 You know, even if Dell decided to take their "seconds" and create the solution I mentioned - it would still have a low-cost computer for little overhead. I know that you don't want to associate Dell with crap computers so it is a sticky wicket but the idea of a ROM computer (be it CD or USB or network) for schools, libraries, internet cafe's, etc seems to me like would be a profitable idea. I am not a business man so I may be all wet with this. If you reduce the front end liabilities/expense of a public computer (i.e. no need for AV software, no worries with spyware, malware, Trojans - which will also reduce spam botnets too) maybe you could afford to get a little more for the base cost of the pc.
ic-man
09/10/07		 Good points, all4bg2006, except "seconds" or any form of generic need not, and is not crap. In any case, that's the advantage of selling a system without your name on it: Product and name are not associated. That's the exchange for a low cost system.
Unfortunately, the bigger the company the higher the overhead (generally speaking) and they are going to do everything to sell all software and peripherals to make the money.
 
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